The emerging 5G TV concept can help telecom network operators to tap the $500 billion TV and video market, said research agency Strategy Analytics.

Telecom operators such Verizon, Deutsche Telekom, SK Telecom, AT&T and BT are conducting 5G demonstrations exploring several use cases.

TV and video delivery is likely to become a core capability of 5G wireless services because 5G will support 1 Gbps data throughput rates.

Telecom operators can combine 5G with other networking enhancements and technologies in order to support TV-equivalent services.

The size of the global TV and video market is $500 billion — currently served by cable, satellite, IPTV and terrestrial broadcast service providers.

“The efficiency of the network will determine whether 5G TV is possible, but we have seen enough from early demonstrations by operators like Verizon, Deutsche Telekom, SK Telecom, AT&T and BT to suggest that it will arrive sooner or later in many parts of the world,” Sue Rudd, director, Service Provider Analysis at Strategy Analytics.

Strategy Analytics said the number of households and devices supported by 5G TV service within any cell will make or break the 5G TV business case.

Telecom operators can increase the number of termination locations by a factor of three or more by deploying several network enhancements that deliver ‘trunking’ efficiency in the Radio Access Network (RAN). These include MIMO and beamforming for optimal spectrum use, virtualization of cell sites, dynamic throughput over backhaul networks and network slicing to guarantee data rates to the household.

Technology companies such as Netflix and Amazon are spending million for new digital services.

“The emergence of 5G TV would represent a further stage in the convergence of media and communications, and wireless and fixed services,” says David Mercer, VP and principal analyst at Strategy Analytics.